Hektar Real Estate Investment Trust · MYX:HEKTAR

Hektar Real Estate Investment Trust — Hektar REIT — Q3 2009 Earnings Presentation

21 slides from Hektar Real Estate Investment Trust's earnings presentation, Nov 4, 2009

  1. Slide 1: Hektar REIT Third Quarter 2009 Financial Results Presentation

    HEKTAR REIT HEKTAR REIT THIRD QQUARTER 2009 FINANCIAL RESULTS PRESENTATION HEKTAR ASSET MANAGEMENT SDN BHD 4 NOVEMBER 2009 PRIVATE & CONFIDENTIAL

  2. Slide 2: Disclaimer

    PRIVATE & CONFIDENTIAL 2 Disclaimer The material that follows is a presentation of general background information about the activities of the Hektar Group (including Hektar REIT and any other affiliates) as at the date of this Presentation. Presentation The information contained herein is given in s

  3. Slide 3: Financial Summary Third Quarter 2009

    PRIVATE & CONFIDENTIAL 3 Financial Summary Third Quarter 2009 1 July 2009 – 30 September 2009 Three months Commentary ƒ Mahkota M hk t PParade d Refurbishment R f bi h t On O Track T k ƒ Hektar REIT trading at 17% discount to NAV as at 3Q 09 Operational & Financial Performance ƒ Portfolio Occupancy:

  4. Slide 4: Hektar REIT Pays Quarterly Dividend Per Unit (DPU)

    PRIVATE & CONFIDENTIAL 4 Distribution Details Hektar REIT Pays Quarterly Dividend Per Unit (DPU) Current Dividend Distribution Details Third Quarter 2009 ƒ Distribution Period: 1 July – 30 September 2009 ƒ Quarterly DPU: 2.40 sen ƒ Notice of Entitlement: 4 November 2009 ƒ Ex‐Dividend Date: 16 Novemb

  5. Slide 5: Hektar DPU Dividend Yield at annualised 9.1%

    PRIVATE & CONFIDENTIAL 5 Comparative Yields - Malaysia Hektar DPU Dividend Yield at annualised 9.1% ƒ Traded at a 484 bps spread over MGS 10-year Hektar REIT Unit Price Change H kt REIT Comparative Hektar C ti Yields Yi ld Nine Months 2009 Unit Price RM 1.06 30 September 2009 484 bps spread % Ch Cha

  6. Slide 6: Portfolio Performance

    PRIVATE & CONFIDENTIAL 6 Portfolio Performance Overall Occupancy at ~96.2% ► Diversified Portfolio Tenancy Mix ► Top Ten Tenants Contribute 27.3% of Monthly Rental Income ► Rental Reversions down 8% for the quarter ► T Tenancy Expiry E i Profile P fil b by P Property t ► 95% of Portfolio Tenancy Ren

  7. Slide 7: Overall Portfolio Occupancy at ~96.2%

    PRIVATE & CONFIDENTIAL 7 Hektar Portfolio - Occupancy Overall Portfolio Occupancy at ~96.2% 96.2% Hektar REIT Portfolio Occupancy As at 31 As at 31 As at 31 As at 30 As at 31 As at 31 As at 30 December December December September December December September Property 2003 2004 2005 2006 2007 2008 200

  8. Slide 8: Diversified Portfolio Tenant Mix

    PRIVATE & CONFIDENTIAL 8 Hektar Portfolio – Tenant Mix Diversified Portfolio Tenant Mix ƒ Fashion, Footwear, F&B are largest sectors within overall portfolio Hektar Portfolio Tenant Mix Key / Legend By Rental Income* By NLA S b Subang P Parade d TTenantt Mix Mi M hk t Parade Mahkota P d T Tenantt Mi

  9. Slide 9: Top Ten Tenants Contribute 27.3% of Monthly Rental Income

    PRIVATE & CONFIDENTIAL 9 Hektar Portfolio – Tenant Diversity Top Ten Tenants Contribute 27.3% of Monthly Rental Income ƒ Default Risk: Parkson contributes ~10.9% of total monthly rental income to REIT and no other tenant contributes more than ~3.0% Hektar REIT Top Ten Tenants by Monthly Rental Incom

  10. Slide 10: Rental Reversions down 8%

    PRIVATE & CONFIDENTIAL 10 Hektar Portfolio – Rental Reversions Rental Reversions down 8% ƒ 3Q 09: 27 new tenancies / renewals at an average 8% lower rental rate ƒ Year-To-Date rental reversions at -4% Hektar REIT Rental Reversions Third Quarter No. of New % of Increase / (Decrease) (3 months) Tenanc

  11. Slide 11: Tenancy Expiry Profile by Property

    PRIVATE & CONFIDENTIAL 11 Hektar Portfolio – Tenancy Expiry Profile Hektar’s Hektar s Tenancy Expiry Profile by Property Hektar REIT Tenancy Expiry Profile by Property As At 30 September 2009 Subang Parade No. of NLA of tenancies NLA of tenancies % of Total For Year Ending Tenancies expiring expirin

  12. Slide 12: 95% of Portfolio Tenancy Rental Income Locked-in for 2009

    PRIVATE & CONFIDENTIAL 12 Hektar Portfolio – Tenancy Expiry Profile 95% of Portfolio Tenancy Rental Income Locked-in Locked in for 2009 ƒ Remaining FY2009 tenancy expiries account for no more than 5% of monthly rental income* Hektar REIT Tenancy Expiry Profile – Overall Portfolio As At 30 September

  13. Slide 13: Hektar Portfolio Tenancy Provisions

    PRIVATE & CONFIDENTIAL 13 Hektar Portfolio – Step-Up & Turnover Hektar Portfolio Tenancy Provisions ƒ Turnover Rent Provisions: Portfolio average of 91% of tenancies ƒ Step-Up Rent Provisions: Portfolio average of 76% of tenancies ƒ Wetex Parade: implementing provisions for f new tenancies / renewal

  14. Slide 14: Financial Results

    PRIVATE & CONFIDENTIAL 14 Financial Results Gross Revenue up 25.2% over budget ► Third Quarter 2009 Net Income exceeds Budget by 29.8% ► Third Quarter ‘09 Net Income flat from previous quarter ► Year-To-Date Net Income down from previous period by 0.6% ► H kt ttrading Hektar di att a 17% di discount

  15. Slide 15: Gross Revenue up 25.2% over Budget

    PRIVATE & CONFIDENTIAL 15 Revenues & Expenses Gross Revenue up p 25.2% over Budget g For Period 1 July – 30 September 2009 Revenue & Expense Actual Budget Variance Third Quarter 2009 (Unaudited) (RM '000) 000) (RM '000) 000) (%) Rental Income Revenue from Tenancy 20,726 16,581 + 25.0% Car Park 1 839

  16. Slide 16: Third Quarter 2009 Net Income exceeds Budget by 29.8%

    PRIVATE & CONFIDENTIAL 16 Income Statement – Quarter Third Quarter ‘09 09 Net Income exceeds Budget by 29.8% For Period 1 July – 30 September 2009 (versus Budget) Income Statement Actual Budget Variance Third Quarter 2009 (Unaudited) (RM '000) (RM '000) (%) Revenue 22,565 18,021 + 25.2% Direct Cost

  17. Slide 17: Third Quarter 2009 Net Income even vs previous quarter

    PRIVATE & CONFIDENTIAL 17 Income Statement – Quarter Comparative Third Quarter ‘09 09 Net Income even v previous quarter For Period 1 July – 30 September 2009 (versus previous comparable period) Income Statement 3Q09 3Q08 Variance Third Quarter 2009 (Unaudited) (RM '000) (RM '000) (%) Revenue 22,565

  18. Slide 18: Year-To-Date Net Income even vs previous year

    PRIVATE & CONFIDENTIAL 18 Income Statement – Year To Date Comparative Year-To-Date Year To Date Net Income even v previous year For Period 1 January – 30 September 2009 (versus previous comparable period) Income Statement 9M09 9M08 Variance Year‐To‐Date 2009 (Unaudited) (RM '000) (RM '000) (%) Reven

  19. Slide 19: Hektar trading at a 17% discount to NAV as at end 3Q09

    PRIVATE & CONFIDENTIAL 19 Balance Sheet Hektar trading at a 17% discount to NAV as at end 3Q09 Balance Sheet As at 30.09.2009 As at 31.12.2008 Unit Price Statistics in RM '000 (Unaudited) (Audited) As at 30 September 2009 Non‐Current Non Current Assets No. of Units Outstanding Investment Properties

  20. Slide 20: Mahkota Parade Refurbishment On Track

    PRIVATE & CONFIDENTIAL 20 Mahkota Parade Refurbishment Mahkota Parade Refurbishment On Track ƒ Phase 1: Central Area Complete ƒ Phase 2: November 2009 – January 2010 ƒ Phase 3: January 2010 – April 2010 Phase 1: Guest Services Counter ƒ Positive Retailer & Customer Feedback Ground Floor Plan Phase 1

  21. Slide 21: Contact

    PRIVATE & CONFIDENTIAL 21 Contact “C “Creating ti The Th Places Pl Where Wh People P l Love L To T Shop” Sh ” Investor Relations Hektar Asset Management Sdn Bhd Block C C‐0‐5, 0 5 Plaza Damas 60 Jalan Sri Hartamas 1 Sri Hartamas 50480 Kuala Lumpur MALAYSIA ℡ +6 03 6201 1011 +6 03 6201 0012 www.Hekta

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